Project Brief You own SIORL, a small vegan restaurant, in Manchester. You purcha

Project Brief You own SIORL, a small vegan restaurant, in Manchester. You purchased the premises in 2015. You operate the business as a private limited company. The business is profitable. The restaurant is open 5 days a week, from midday to 10pm. The restaurant can seat a maximum of 24 customers. The restaurant does not offer a take-away service. SIORL has a restaurant manager and a chef who are both paid salaries. SIORL also has 6 employees who help the chef with food preparation and serve customers. These 6 employees are paid the National Living Wage, with 3 of them working from 11am to 5pm and the other 3 from 5pm until 11pm. You class the wages paid to these 6 employees as a variable cost. Most meals are made to order using job production. Many of the desserts are prepared before the restaurant opens using batch production. The number of vegan restaurants in Manchester is increasing. You therefore plan to open a second restaurant in July 2024. This will be 28 miles away in Chester. This restaurant will have the same staffing structure as the Manchester restaurant. You want to buy premises in the main shopping area. If the premises are not already a restaurant, a builder will be employed to convert the premises to seat 30 customers. Research suggests the average customer will spend £40 per visit to the Chester restaurant. You have calculated that the Chester restaurant’s fixed costs will be 10% higher than those for your Manchester restaurant but the variable cost per customer will remain the same. You also plan to offer a take-away service from this new restaurant. The average take-away order per customer will be £25. You will need finance to buy: • premises and any internal changes needed • food preparation equipment • restaurant fixtures and fittings eg tables and chairs. Research has shown that the following expenses will be necessary: • rent / mortgage • utilities • salaries and wages • market research and advertising • fuel. Using all relevant materials, you are required to create an action plan, complete research and create a business plan that could be presented to an organisation to raise the necessary finance. You need to consider sources of finance. As you progress through the development of the business plan you may find that other expenses will need to be included within the financial plan. 9 Please turn over Project instructions: In order to succeed in gaining business finance you need to produce a full portfolio which is to include: 1. Business and enterprise planning 2. Research 3. Business plan 4. Review and evaluation You should use the following appendices to help you. List of appendices Appendix 1: SIORL’S Manchester restaurant financial information for 2022 Appendix 2: Forecast customer numbers for SIORL’s Chester restaurant (excluding take-away customers) Appendix 3: Forecast customer numbers for take-away sales from SIORL’s Chester restaurant Appendix 4: Veganuary Appendix 5: Deliveroo vegan deliveries Appendix 6: Cost of sales for SIORL’s Chester restaurant Appendix 1 SIORL’S Manchester restaurant financial information for 2022 Total costs £450 000 Fixed costs £135 000 Total number of customers 14 400 Average customer spend per visit £35 Variable costs £15 Appendix 2 Forecast customer numbers for SIORL’s Chester restaurant (excluding take-away customers) Year Customer numbers Year 1 11 000 Year 2 12 200 Year 3 13 000 10 Please turn over Appendix 3 Forecast customer numbers for take-away sales from SIORL’s Chester restaurant Year Customer sales Year 1 1500 Year 2 1800 Year 3 2000 Appendix 4 Veganuary Every year, hundreds of thousands of Britons sign up for the Veganuary campaign. This is a promise to have a plant-based diet for a month. A YouGov poll of 2079 UK adults showed about 4% intended to take part in Veganuary in 2022. This suggests a total of 2.7 million people would join in 2022. Source: https://trulyexperiences.com/blog/veganism-uk-statistics/ Appendix 5 Deliveroo vegan deliveries In 2021 the UK-based delivery service, Deliveroo, had more than two times the number of vegan restaurants on its app than it had in 2020. 12 000 of these restaurants offered veganfriendly options. The most vegan orders in 2020 were placed in Brighton, Bristol, London, Manchester, and Edinburgh. In 2021, Deliveroo experienced a massive increase of vegan orders – up 105% from 2020. Source: https://trulyexperiences.com/blog/veganism-uk-statistics/ Appendix 6 Cost of sales for the new restaurant will be 50% of sales revenue. 11 Please turn over Assessment tasks Task 1 Business and enterprise action planning Maximum time 2 hours Content areas assessed 1. Entrepreneurship, business organisation and stakeholders Assessment objectives AO1 – 4 marks AO2 – 4 marks AO3 – 4 marks You are required to produce an action plan that: • demonstrates that you understand what it means to be an entrepreneur by developing an action plan to enable you to produce an effective business plan that will support SIORL’S application for finance • includes a description of the business and its plans for the future, identifying key points from the sources provided • identifies other relevant information needed to complete the business plan • includes a timeline identifying the key dates at which you will complete each task. Action plan to include: • business summary • identification of key points from the brief and appendices • identification of other relevant information needed with reasons • potential sources of other information • timeline. [12 marks] Evidence You could use the following formats to provide evidence for your research: • written report • graphs and charts • timescale plan. 12 Please turn over Task 2 Research Maximum time 4 hours plus 3 hours for primary research Content areas assessed 2. Market research, market types and orientation and marketing mix Assessment objectives AO1 – 6 marks AO2 – 6 marks AO3 – 8 marks You are required to: • undertake primary research to inform the business plan of SIORL. This should include both qualitative information and quantitative data • provide an analysis of both the primary and secondary research collected that meets the requirements of the project brief • provide a written justification as to why the research methods were selected. [20 marks] Evidence Your evidence must also include: • your internet browsing history / list of websites used for research and planning purposes. You could use the following formats to provide evidence for your research: • written report • annotated diagrams • digital presentation • graphs and charts • video. 13 Please turn over Task 3 Business plan Maximum time 10 hours Content areas assessed 2. Market research, market types and orientation and marketing mix 3. Human resources requirements for a business and enterprise 4. Operations management 5. Business growth 6. Sources of enterprise funding and business finance 7. The impact of external environment on business and enterprise 8. Business and enterprise planning Assessment objectives AO1 – 8 marks AO2 – 20 marks AO3 – 8 marks AO4 – 40 marks You are required to: • produce a business plan that focuses on SIORL and the expansion plans. Your evidence must include: A fully completed business plan that includes: • executive summary • company description • market analysis • marketing • people and operations • financial plan. Present your business plan in an appropriate format. [76 marks] Evidence You could use a range of the following to provide evidence for your plan: • written plan • annotated diagrams • digital presentation • screenshots • spreadsheets • graphs and charts • designs. 14 Please turn over This is the end of the non-exam assessment